Major U.S. Banks Withdraw from Net-Zero Climate Alliance

Morgan Stanley, Bank of America, and Citigroup join other Wall Street giants in exiting the UN-backed initiative as political and economic pressures mount.

Morgan Stanley became the fifth major U.S. bank to leave the Net-Zero Banking Alliance, following recent exits by Bank of America, Citigroup, Goldman Sachs, and Wells Fargo.
The banks have cited no specific reasons for their departures but emphasized their continued commitment to achieving net-zero carbon emissions independently.
The exits come ahead of President-elect Donald Trump's inauguration, with his administration expected to prioritize fossil fuel production and roll back environmental initiatives.
Republican-led efforts, including lawsuits and regulatory scrutiny, have increased pressure on financial institutions over their involvement in climate-focused alliances.
Critics argue the departures highlight the limitations of voluntary climate commitments, while some banks shift their focus to broader climate coalitions like the Glasgow Financial Alliance for Net Zero.